[Federal Register Volume 59, Number 160 (Friday, August 19, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-20345]


[[Page Unknown]]

[Federal Register: August 19, 1994]


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EVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[TX-20-1-5732a; FRL-5016-8]

 

Clean Air Act Approval and Promulgation of Title V, Section 507, 
Small Business Stationary Source Technical and Environmental Compliance 
Assistance Program for Texas

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: The EPA is approving the State Implementation Plan (SIP) 
revision submitted by the State of Texas for the purpose of 
establishing a Small Business Stationary Source Technical and 
Environmental Compliance Assistance Program. The SIP revision was 
submitted by the State to satisfy the Federal mandate, found in the 
Clean Air Act (CAA), to ensure that small businesses have access to the 
technical assistance and regulatory information necessary to comply 
with the CAA. The rationale for the approval is set forth in this 
document; additional information is available at the address indicated 
below.

DATES: This action will become effective on October 18, 1994, unless 
adverse or critical comments are received by September 19, 1994. If the 
effective date is delayed, timely notice will be published in the 
Federal Register.

ADDRESSES: Written comments on this action should be addressed to Mr. 
Thomas Diggs, Chief (6T-AP), Planning Section, at the EPA Regional 
Office listed below. Copies of the documents relevant to this action 
are available for public inspection during normal business hours at the 
following locations. The interested persons wanting to examine these 
documents should make an appointment with the appropriate office at 
least 24 hours before the visiting day.

U.S. Environmental Protection Agency, Region 6, Air Programs Branch 
(6T-AP), 1445 Ross Avenue, Suite 700, Dallas, Texas 75202-2733.
Air and Radiation Docket and Information Center, U.S. Environmental 
Protection Agency, 401 M Street, SW., Washington, DC 20460.
Texas Natural Resource Conservation Commission, Office of Air 
Quality, 12124 Park 35 Circle, Austin, Texas 78753.

FOR FURTHER INFORMATION CONTACT: Dr. John Crocker, P.E., Planning 
Section (6T-AP), Air Programs Branch, U.S. Environmental Protection 
Agency, Region 6, 1445 Ross Avenue, Dallas, Texas 75202-2733, telephone 
(214) 665-7596.

SUPPLEMENTARY INFORMATION:

I. Background

    Implementation of the provisions of the CAA, as amended in 1990, 
will require regulation of many small businesses so that areas may 
attain and maintain the National ambient air quality standards (NAAQS) 
and reduce the emissions of air toxics. Small businesses frequently 
lack the technical expertise and financial resources necessary to 
evaluate such regulations and to determine the appropriate mechanisms 
for compliance. In anticipation of the impact of these requirements on 
small businesses, the CAA requires that States adopt a Small Business 
Stationary Source Technical and Environmental Compliance Assistance 
Program (PROGRAM), and submit this PROGRAM as a revision to the 
federally approved SIP. In addition, the CAA directs the EPA to oversee 
these small business assistance programs and report to Congress on 
their implementation. The requirements for establishing a PROGRAM are 
set out in section 507 of title V of the CAA. In February 1992, the EPA 
issued ``Guidelines for the Implementation of Section 507 of the 1990 
Clean Air Act Amendments'', in order to delineate the Federal and State 
roles in meeting the new statutory provisions and as a tool to provide 
further guidance to the States on submitting acceptable SIP revisions.
    The State of Texas submitted a SIP revision to the EPA in order to 
satisfy the requirements of section 507. In order to gain full 
approval, the State submittal must provide for each of the following 
three PROGRAM elements:
    (1) The establishment of a Small Business Assistance Program (SBAP) 
to provide technical and compliance assistance to small businesses;
    (2) The establishment of a State Small Business Ombudsman to 
represent the interests of small businesses in the regulatory process; 
and
    (3) The creation of a Compliance Advisory Panel (CAP) to determine 
and report on the overall effectiveness of the SBAP.
    The Region used section 507 of the CAA when reviewing the State 
submittal for approvability. The SIP revision, discussed in detail in 
the Technical Support Document, is briefly outlined below.

II. Analysis

A. Procedural Background

    The State of Texas has met all of the requirements of section 507 
by submitting a SIP revision that implements all required PROGRAM 
elements. The Texas Clean Air Act (TCAA), TEXAS HEALTH AND SAFETY CODE 
ANN. (Vernon 1992), Sec. 382.0365, ``Small Business Stationary Source 
Assistance Program'', enacted by the Texas 1991 legislative session and 
effective September 1991, provides authority for the State to establish 
a PROGRAM (SIP Appendix A). Included in Sec. 382.0365 of the TCAA are 
provisions establishing an SBAP, establishing the SBAP's duties and 
responsibilities, creating a State ombudsman, creating a CAP, 
establishing membership of the CAP, and establishing CAP duties. In 
addition, the State of Texas has the legal authority necessary to 
implement the control strategies for the PROGRAM in compliance with the 
CAA and the EPA requirements under the provisions of the TCAA, 
Secs. 382.0365(f) and 382.017. The Texas Small Business Ombudsman, 
Small Business Advocate's Office, is located at the central offices of 
the Texas Natural Resource Conservation Commission (TNRCC), Office of 
Air Quality, [formerly the Texas Air Control Board (TACB)], in Austin, 
Texas.
    The State conducted public hearings on September 2, 3, 8, 9, and 
10, 1992, to consider public comments on the proposed PROGRAM, which 
will amend the Texas SIP to add a revision entitled, ``Revisions to the 
State Implementation Plan for the Small Business Stationary Source 
Technical and Environmental Compliance Assistance Program, Texas Air 
Control Board''. The proposed SIP revision was formally adopted 
November 6, 1992, by the TACB. The Texas PROGRAM was submitted to the 
EPA by the Governor of Texas on November 13, 1992 (received November 
16, 1992) as a revision to the Texas SIP. It was initially reviewed for 
completeness and was determined complete on January 15, 1993. The 
submittal was then reviewed for approvability by the EPA Region 6 and 
EPA Headquarters.
    On September 1, 1993, the TACB merged with the Texas Water 
Commission to form the TNRCC and is now called the Office of Air 
Quality within the TNRCC. The merger did not abrogate, void, or rescind 
any rules, regulations, Orders, permits, or any other action previously 
taken by the former TACB.

B. Plan Requirements

1. Small Business Assistance Program
    The first PROGRAM element is the establishment of a SBAP to provide 
technical and compliance assistance to small businesses.
    The State has met the first PROGRAM element by committing in its 
narrative SIP revision, under subsection I.A.3.c), entitled 
``Establishment of a Small Business Assistance Program (SBAP)'', to 
establish a SBAP in the TACB, Program Development Division. In order to 
establish this PROGRAM element, Sec. 382.0365(a) and (b) of the TCAA 
were enacted and provide the legal authority requiring for 
establishment of the SBAP with responsibilities consistent with the six 
requirements in title V of the Federal CAA. The SBAP will provide 
sufficient services to small businesses through the development, 
collection, and dissemination of information to small businesses on 
matters of (1) Determining applicable requirements under the CAA and 
permit issuance; (2) the rights and obligations of small businesses 
under the CAA; (3) compliance methods and acceptable control 
technologies; (4) pollution prevention and accidental release 
prevention and detection; and (5) audit programs. (Details are 
presented in the EPA's Technical Support Document and the State's 
submittal.)
    a. The Texas SBAP is charged with the following duties:
    (i) Conducting independent evaluations of all aspects of the SBAP 
to determine program effectiveness and continuously improving the 
program design;
    (ii) Reviewing and providing comments and recommendations to the 
Ombudsman's Office, the CAP, EPA, the State, and the local air 
pollution control authorities regarding the development and 
implementation of regulations that impact small businesses;
    (iii) Facilitating and promoting the early participation of small 
businesses in the development of new or modified regulations and 
policies that impact small businesses;
    (iv) Assisting in providing to other State and local authorities, 
associations, educational institutions, environmental groups, and the 
general public information regarding the applicability of the 
requirements of the CAA to small businesses;
    (v) Actively promoting and assisting in the dissemination of 
information (i.e., upcoming regulations, control technologies, etc.) to 
small businesses and other interested parties;
    (vi) Participating in and sponsoring meetings and conferences with 
State/local air pollution control authorities, industry groups, and 
small business representatives;
    (vii) Periodically surveying small businesses and other customers 
of the SBAP to determine if the work and services provided by the SBAP 
to trade associations and small business representatives are adequate;
    (viii) Operating a telephone hot line to provide technical and 
compliance help on individual source problems;
    (ix) Referring small businesses to the appropriate technical 
specialists in the community where they may obtain information and 
assistance on affordable alternative technologies, process changes, 
products, and operational methods to help reduce air pollution and 
accidental releases;
    (x) Arranging for and assisting in the preparation of guideline 
documents to ensure that the technical and compliance information is 
available and is readily understandable by the layperson;
    (xi) Working with trade associations and small businesses to bring 
about voluntary compliance with regulations under the TCAA and the CAA;
    (xii) Interfacing with regional and State offices of the Small 
Business Administration, Department of Commerce, and/or other State and 
Federal agencies that may have programs to financially assist small 
businesses in need of funds to comply with environmental regulations 
and develop information so that it is readily available to the small 
business community;
    (xiii) Interfacing with private sector financial institutions to 
assist small businesses in locating sources of funds to comply with 
State/local air pollution control requirements; and
    (xiv) Conducting studies to evaluate the impacts of the TCAA and 
the CAA on the State's economy, local economies, and small businesses, 
and supporting similar studies conducted by the Ombudsman's Office. 
Additional details of the Texas SBAP are presented below.
    b. Section 507(a) sets forth six requirements1 that the State 
must meet to have an approvable SBAP. The first requirement is to 
establish adequate mechanisms for developing, collecting, and 
coordinating information concerning compliance methods and technologies 
for small business stationary sources, and programs to encourage lawful 
cooperation among such sources and other persons to further compliance 
with the Act.
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    \1\A seventh requirement of section 507(a), establishment of an 
Ombudsman office, is discussed in the next section.
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    The State has met this requirement. The SBAP will provide a system 
for developing, collecting, and coordinating information on compliance 
methods and technologies. Data bases and experts in different areas 
will provide definitive guidance information.
    The SBAP will include:
    (i) Methods for disseminating technical and compliance information 
to small businesses: The SBAP will act as an information clearinghouse 
by referring small businesses to State technical experts, specifically 
trained to handle specific questions relevant to achieving compliance 
with the CAA. The State has installed and is operating a toll-free 
telephone hot line to respond to inquires from small businesses. 
Services provided by the SBAP are to be publicized through an 
electronic bulletin board, association newsletters, industry groups, 
trade associations, and community roundtables. The flow of information 
includes two types of components: A proactive component and a reactive 
component. The proactive component involves adequate communication with 
and information outreach to small businesses in the form of easily 
discernable information which specifically details their obligations 
under the CAA. The reactive component involves the establishment of a 
clearinghouse for handling incoming inquiries from small businesses 
regarding methods for achieving compliance with air pollution control 
requirements under the CAA. A more detailed description of the SBAP 
elements follows.
    (ii) Information dissemination methods available to qualified small 
businesses are as follows:
    (A) An electronic bulletin board will be available 24 hours a day, 
seven days a week to provide guidance on applicable rules and 
regulations, a calendar of events, a listing of public hearings and 
workshops, and a menu of directories that include Federal, State, and 
private environmental hot lines and technology centers. The electronic 
bulletin board will also provide a mechanism that allows users to 
evaluate the system and provide anonymous comments on the program and 
information provided; the user can make suggestions. Application forms, 
instructions, brochures, and other technical and compliance information 
can be requested through the electronic bulletin board. Up-to-date 
State and Federal regulations for all media will be available with 
search capability for review and selection by qualified small 
businesses. The electronic bulletin board is available via computer 
modem (phone line) directly on the small business site or at a variety 
of locations within the State.
    (B) The SBAP will mail, upon request, information outlining the 
rights of small businesses and how those rights can be exercised.
    (C) Personal visits to small businesses may be made by the SBAP 
personnel.
    (D) Public service announcements by mass media methods such as 
newspapers, radio, and television are available. Videos are also 
available upon request.
    (E) Area seminars will be conducted by the TACB on a periodic 
basis, including seminars at the central Austin, Texas office.
    (F) A toll-free hot line to receive technical and compliance 
information will be implemented through the SBAP office.
    (G) A clearinghouse will be established that will handle incoming 
inquiries from small businesses. Access to the electronic bulletin 
board, facsimile machine, printer, and other information tools will be 
available to staff to respond to the inquiries. Walk-in service will be 
provided, as well as electronic, written, and telephone contacts. All 
information developed by the SBAP will be available through the 
clearinghouse, as well as any appropriate reference materials needed to 
comply.
    c. The second requirement is to establish adequate mechanisms for 
assisting small business stationary sources with pollution prevention 
and accidental release detection and prevention, including providing 
information concerning alternative technologies, process changes, 
products, and methods of operation that help reduce air pollution.
    The State has met this requirement. The SBAP will assist small 
business stationary sources on methods of pollution prevention and 
accidental release prevention and detection, including information 
concerning different technologies, process changes, products, and 
methods of operation that help reduce air pollution. Technical 
personnel from the TACB will be available to provide pertinent 
information from the regional offices or from the Austin office. 
Circumstances and specific emissions will dictate the required 
procedure to be followed by the small business stationary sources. 
Mechanisms to provide assistance will include the following:
    (i) The SBAP will coordinate information relating to pollution 
prevention and accidental release prevention and detection with all 
Federal, State, and local agencies with environmental jurisdictions;
    (ii) The SBAP clearinghouse and electronic bulletin board will 
include information on pollution prevention, accidental release 
prevention, and detection; and
    (iii) A directory of contacts will be developed and made available 
of technical experts in the areas of pollution prevention, accidental 
release prevention, detection, and familiarity with pollution 
prevention technologies and alternatives to reduce pollution.
    d. The third requirement is to develop a compliance and technical 
assistance program for small business stationary sources which assists 
small businesses in determining applicable requirements and in 
receiving permits under the Act in a timely and efficient manner.
    The State has met this requirement. The State has committed to 
establish a small business stationary source compliance assistance 
program for determining applicable requirements and permit issuance, 
including the following:
    (i) Industry-specific information packets will be developed and 
made available to small businesses and staff that include information 
on rules, regulations, permit requirements, testing, recordkeeping, and 
compliance information, as well as self-audit procedures and pollution 
prevention methods.
    (ii) Inspectors will be provided training on how to educate small 
business owners on conducting self-inspections and understanding the 
compliance requirements they must meet; and
    (iii) Whenever a new policy or rule is promulgated, workshops will 
be conducted to inform and educate the specific small business 
community on appropriate compliance methods and procedures.
    e. The fourth requirement is to develop adequate mechanisms to 
assure that small business stationary sources receive notice of their 
rights under the Act in such manner and form as to assure reasonably 
adequate time for such sources to evaluate compliance methods and any 
relevant or applicable proposed or final regulation or standards issued 
under the Act.
    The State has met this requirement. The State has committed to 
provide methods for notifying small business stationary sources on a 
timely basis of their rights under the CAA, including the following:
    (i) The SBAP will develop a data base that includes all small 
business stationary sources and associations, and will coordinate with 
appropriate agency staff to notify affected sources of potential 
changes or rules that affect them;
    (ii) Formal public notification procedures will be developed and 
implemented agencywide that ensure timely notice of small businesses of 
their rights and obligations under the CAA; and
    (iii) The SBAP will work with trade associations, local agencies, 
educational facilities, and community leaders to establish 
environmental partnerships to bring about voluntary compliance with 
regulations under the CAA through participation and educational 
activities.
    f. The fifth requirement is to develop adequate mechanisms for 
informing small business stationary sources of their obligations under 
the Act, including mechanisms for referring such sources to qualified 
auditors or, at the option of the State, for providing audits of the 
operations of such sources to determine compliance with the Act.
    The State has met this requirement. Methods that are identified in 
paragraph II.B.1.b.(ii) above (concerning the first requirement) shall 
be utilized by the State to inform small business stationary sources of 
their obligations under the CAA, including a program for referring 
sources to qualified auditors or for the State to provide for audits of 
the operations of such sources to determine if they are within the 
rules of the CAA. The audit program will be established no later than 
November 15, 1994.
    g. The sixth requirement is to develop procedures for consideration 
of requests from a small business stationary source for modification of 
(A) any work practice or technological method of compliance, or (B) the 
schedule of milestones for implementing such work practice or method of 
compliance preceding any applicable compliance date, based on the 
technological and financial capability of any such small business 
stationary source.
    The State has met this requirement. The State will:
    (i) Provide a system for collecting and coordinating information on 
compliance methods and technologies. Data bases and experts in 
different areas will provide definitive guidance information.
    (ii) Develop procedures to respond to requests from small business 
stationary sources for modification of any work practice or technical 
methods of compliance, schedule of milestones for implementing such 
work practice, or method of compliance preceding any applicable 
compliance date, based on the technological and financial capability of 
any such small business stationary source. No such modification may be 
granted unless it is in compliance with the applicable requirements of 
the CAA.
    (iii) Establish approved procedures to provide review of requests 
from small businesses for modification of work practice or technical 
methods of compliance based on financial and technological capability.
    The SBAP core portion of the PROGRAM will be staffed with 18 
positions. Hiring of all staff positions to support the Texas SBAP will 
be completed by mid-1994. Most of the assistance provided to small 
businesses will be managed by this group of staff members with 
assistance and input from the Small Business Advocate's (Ombudsman's) 
Office. Subsection I.A.3.c) of the SIP, entitled ``Establishment of a 
Small Business Assistance Program (SBAP)'', describes the details of 
the SBAP, which meet the six requirements set forth in section 507(a), 
and stated above. Furthermore, Sec. 382.0365 of the TCAA requires the 
establishment of the SBAP and requires the TNRCC to implement this core 
portion of the PROGRAM in accordance with the CAA and the EPA 
requirements.
2. Ombudsman
    The second PROGRAM element is the establishment of a State Small 
Business Ombudsman to represent the interests of small businesses in 
the regulatory process. Section 507(a)(3) requires the designation of a 
State office to serve as the Ombudsman for small business stationary 
sources.
    The State has met this requirement by hiring the Ombudsman on 
February 17, 1992. The Ombudsman reports directly to the TNRCC 
Commissioners (previously to the TACB) and is not within the chain of 
command of the State agency itself. Thus, the Ombudsman is separate 
from the air quality regulatory branch of the State agency, and 
therefore can be an independent advocate for small businesses. The 
office is located at the central offices of the TNRCC, Office of Air 
Quality (previously the TACB) at 12124 Park 35 Circle, Austin, Texas 
78753. The office is currently partially staffed and operational, and 
has been since October 1992. The Small Business Advocate's 
(Ombudsman's) Office will ultimately be staffed with 11 positions by 
mid-1994, and the Office is responsible for administering the Ombudsman 
element of this PROGRAM. The TCAA, Sec. 382.0365(b)(3) provides the 
legal authority for establishment of the Small Business Ombudsman. The 
Ombudsman has the authority to request information from other State 
agencies that assist small businesses and has the ability to testify 
before the Legislature.
    a. It shall be the responsibility of the State office to represent 
small business stationary sources that require assistance in air 
pollution matters.
    b. The Ombudsman's Office has an adequate staff that includes 
appropriate personnel to assist in all phases of air pollution control. 
Specific staffing plans are presented in Appendix C of the SIP.
    c. The Ombudsman's Office has been and will be provided adequate 
funding to maintain the office.
    d. The Ombudsman's Office is charged with the following duties:
    (i) Conducting independent evaluations of all aspects of the SBAP;
    (ii) Reviewing and providing comments and recommendations to the 
EPA, the State, and the local air pollution control authorities 
regarding the development and implementation of regulations that impact 
small businesses;
    (iii) Facilitating and promoting the participation of small 
businesses in the development of new regulations that impact small 
businesses;
    (iv) Assisting in providing to higher authorities and the public 
information regarding the applicability of the requirements of the CAA 
to small businesses;
    (v) Aiding in the dissemination of information (i.e., upcoming 
regulations, control technologies, etc.) to small businesses and other 
interested parties;
    (vi) Participating in and sponsoring meetings and conferences with 
State/local air pollution control authorities, industry groups, and 
small business representatives;
    (vii) Periodically reviewing the work and services provided by the 
SBAP with trade associations and small business representatives;
    (viii) Operating a telephone hot line to provide help on individual 
source problems and grievances;
    (ix) Referring small businesses to the appropriate specialists in 
the SBAP where they may obtain information and assistance on affordable 
alternative technologies, process changes, products, and operational 
methods to help reduce air pollution and accidental releases;
    (x) Arranging for and assisting in the preparation of guideline 
documents by the SBAP to ensure that the language is readily 
understandable by the layperson;
    (xi) Working with trade associations and small businesses to bring 
about voluntary compliance with regulations under the CAA;
    (xii) Interfacing with regional and State offices of the Small 
Business Administration, the Department of Commerce, and/or other State 
and Federal agencies that may have programs to financially assist small 
businesses in need of funds to comply with environmental regulations;
    (xiii) Interfacing with private sector financial institutions to 
assist small businesses in locating sources of funds to comply with 
State/local air pollution control requirements; and
    (xiv) Conducting studies to evaluate the impacts of the CAA on the 
State's economy, local economies, and small businesses. Copies of 
studies will be available upon request to the Ombudsman's Office.
    Thus, it shall be the responsibility of the Small Business 
Advocate's Office to monitor the PROGRAM. The Office shall:
    (A) Since February 1992, serve as ombudsman for small businesses in 
accordance with the Federal mandate of section 507 of the 1990 CAA; and
    (B) Work with the SBAP to develop programs and provide assistance 
to small businesses in all areas, as necessary.
    Sufficient resources will be provided to the State Advocate's 
Office to enable it to discharge its responsibilities effectively. 
Provisions have been made to provide the Ombudsman with direct access 
to the government agencies and officials necessary to ensure that the 
concerns of small businesses will be heard. Further, the Ombudsman is 
vested with sufficient authority to identify and propose solutions to 
small business problems as they relate to the implementation of the 
CAA. The narrative SIP revision, subsection I.A.3.a) entitled 
``Designation of a State Office to Serve as Ombudsman for Small 
Businesses'', describes the details of the Ombudsman element of the 
PROGRAM. Section 382.0365 of the TCAA requires the establishment of the 
Ombudsman and requires the TNRCC to implement this element in 
accordance with the CAA and the EPA requirements.
3. Compliance Advisory Panel (CAP)
    The third PROGRAM element is the creation of a CAP to determine and 
report on the overall effectiveness of the SBAP. Section 507(e) 
requires the State to establish a CAP that must include two members 
selected by the Governor who are not owners or representatives of 
owners of small businesses; four members selected by the State 
legislature who are owners, or represent owners, of small businesses; 
and one member selected by the head of the agency in charge of the Air 
Pollution Permit Program.
    The State has met this requirement by committing to appoint members 
to the Panel by November 1994. Section 382.0365 of the TCAA creates the 
State Compliance Advisory Panel with responsibilities consistent with 
the requirements in title V of the Federal CAA and specifies the 
panel's make-up, qualifications, and duties. Adequate support sources 
and sufficient resources to conduct business will be provided to the 
Panel by the Ombudsman. The TNRCC, Office of Air Quality (formerly the 
TACB), will assist in the formation of the seven-member CAP.
    Although section 507 of the CAA requires selection by the majority 
and minority leadership of the House and Senate, the EPA believes that, 
given the makeup of the State's legislature, as required by the State's 
constitution, Texas' selection complies with section 507 of the CAA. 
Texas has a bicameral legislature. There are constitutional provisions 
providing for leadership of the Senate and House in the Office of the 
Lieutenant Governor (President of the Senate) and in the Office of the 
Speaker of the House. However, there are no positions in the Texas 
legislature which equate to majority and minority leaders, as in the 
national Congress. In accordance with section 507(e) of the Federal 
CAA, Sec. 382.0365(c) of the Texas Health and Safety Code provides for 
the composition of the CAP. Pursuant to Sec. 382.0365(c), both the 
Lieutenant Governor and the Speaker of the House, who are the 
equivalent Texas entities for purposes of legislative selection of CAP 
members, shall each select two members. It is the EPA's position that 
this appointment mechanism complies with the legislative intent of 
section 507(e). Appendix D of the SIP revision submittal discusses the 
State's constitutional/statutory legislative process for all 
appointment procedures. Minority leadership is represented in the 
appointments made by the Lieutenant Governor and the Speaker of the 
House, since the Lieutenant Governor is elected State-wide, and the 
Speaker is elected by the entire House. The EPA believes that the 
process for designation of CAP members by the two legislative leaders 
meets the intent of section 507(e).
    In addition to establishing the minimum membership of the CAP, the 
CAA delineates four responsibilities of the Panel:
    (1) To render advisory opinions concerning the effectiveness of the 
SBAP, difficulties encountered, and the degree and severity of 
enforcement actions;
    (2) To periodically report to the EPA concerning the SBAP's 
adherence to the principles of the Paperwork Reduction Act, the Equal 
Access to Justice Act, and the Regulatory Flexibility Act\2\;
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    \2\Section 507(e)(1)(B) of the CAA requires the CAP to report on 
the compliance of the SBAP with these three Federal statutes. 
However, since State agencies are not required to comply with them, 
EPA believes that the State PROGRAM must merely require the CAP to 
report on whether the SBAP is adhering to the general principles of 
these Federal statutes.
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    (3) To review and assure that information for small business 
stationary sources is easily understandable; and
    (4) To develop and disseminate the reports and advisory opinions 
made through the SBAP.
    The State has met these requirements (A) by enacting the State law 
creating the CAP and providing it with the enumerated responsibilities, 
and (B) by committing to appoint members to the Panel by November 1994.
4. Eligibility
    Section 507(c)(1) of the CAA defines the term ``small business 
stationary source'' as a stationary source that:
    (A) Is owned or operated by a person who employs 100 or fewer 
individuals,
    (B) Is a small business concern as defined in the Small Business 
Act;
    (C) Is not a major stationary source;
    (D) Does not emit 50 tons per year (tpy) or more of any regulated 
pollutant; and
    (E) Emits less than 75 tpy of all regulated pollutants.
    The State of Texas has established a mechanism for ascertaining the 
eligibility of a source to receive assistance under the PROGRAM, 
including an evaluation of a source's eligibility using the criteria in 
section 507(c)(1) of the CAA. This mechanism is described in the 
State's narrative SIP revision, subsection I.A.4. entitled ``Source 
Eligibility''.
    The State of Texas has provided for public notice and comment on 
grants of eligibility to sources that do not meet the provisions of 
sections 507(c)(1) (C), (D), and (E) of the CAA but do not emit more 
than 100 tpy of all regulated pollutants.
    The State has also provided for exclusion from the small business 
stationary source definition, after consultation with the EPA and the 
Small Business Administration Administrator and after providing notice 
and opportunity for public hearing, of any category or subcategory of 
sources that the State determines to have sufficient technical and 
financial capabilities to meet the requirements of the CAA.

III. Final Action

    In this action, the EPA is approving the SIP revision submitted by 
the State of Texas for establishing a Small Business Stationary Source 
Technical and Environmental Compliance Assistance Program.
    The State of Texas has submitted a SIP revision for establishing 
each of the required PROGRAM elements required by section 507 of the 
CAA. The EPA has reviewed this revision to the Texas SIP and is 
approving it as submitted because the State's PROGRAM meets the 
requirements of section 507 of the CAA. The SIP includes a schedule of 
implementation, which commits the State to have all three principal 
PROGRAM elements fully implemented by November 15, 1994. SIP schedule 
implementation milestones are being tracked and monitored by the Region 
as part of the State's normal PROGRAM review. Currently, Texas has 
partially staffed and initiated the SBAP, designated and partially 
staffed the State Office to serve as Small Business Ombudsman, and 
created a CAP (and appointed five of its seven members). The CAP's 
initial meeting will be held by November 15, 1994. The State is 
implementing a model program with most elements in place well ahead of 
the EPA deadline of November 15, 1994 to have a fully operational 
program.
    The EPA is publishing this action without prior proposal because 
the Agency views this as a noncontroversial amendment and anticipates 
no adverse comments. However, EPA has published a simultaneous proposed 
rule in this Federal Register. This direct final action will be 
effective October 18, 1994, unless adverse or critical comments are 
received by September 19, 1994. If the EPA receives such comments, this 
action will be withdrawn, and all public comments received will be 
addressed in a subsequent final rule that is based on the proposed rule 
(please see the brief proposed rule published in this issue of the 
Federal Register). The EPA will not institute a second comment period 
on this action. Any parties interested in commenting on this action 
should do so at this time. If no such comments are received, the public 
is advised that this action will be effective October 18, 1994.
    The EPA has reviewed this request for revision of the federally-
approved SIP for conformance with the provisions of the 1990 Clean Air 
Act Amendments enacted on November 15, 1990. The EPA has determined 
that this action conforms with those requirements.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any SIP. Each request for revision to the SIP shall be 
considered separately in light of specific technical, economic, and 
environmental factors, and in relation to relevant statutory and 
regulatory requirements.
    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., the EPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
Alternatively, the EPA may certify that the rule will not have a 
significant impact on a substantial number of small entities. Small 
entities include small businesses, small not-for-profit enterprises, 
and government entities with jurisdiction over populations of less than 
50,000.
    By this action, the EPA is approving a State program created for 
the purpose of assisting small businesses in complying with existing 
statutory and regulatory requirements. The program being approved in 
this action does not impose any new regulatory burden on small 
businesses; it is a program under which small businesses may elect to 
take advantage of assistance provided by the State. Therefore, because 
the EPA's approval of this program does not impose any new regulatory 
requirements on small businesses, I certify that it does not have a 
significant economic impact on any small entities affected.
    This action has been classified as a Table 2 action by the Regional 
Administrator under the procedures published in the Federal Register on 
January 19, 1989 (54 FR 2214-2225), as revised by an October 4, 1993, 
memorandum from Michael H. Shapiro, Acting Assistant Administrator for 
Air and Radiation. The Office of Management and Budget has exempted 
this regulatory action from Executive Order 12866 review.
    Under section 307(b)(1) of the Clean Air Act, petitions for 
judicial review of this action must be filed in the United States Court 
of Appeals for the appropriate circuit by October 18, 1994. Filing a 
petition for reconsideration by the Administrator of this final rule 
does not affect the finality of this rule for the purposes of judicial 
review nor does it extend the time within which a petition for judicial 
review may be filed, and shall not postpone the effectiveness of such 
rule or action. This action may not be challenged later in proceedings 
to enforce its requirements. [See section 307(b)(2).]

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Small business assistance program.

    Note: Incorporation by reference of the SIP for the State of 
Texas was approved by the Director of the Federal Register on July 
1, 1982.

    Dated: July 1, 1994.
W.B. Hathaway,
Acting Regional Administrator (6A).

    Part 52, chapter I, title 40 of the Code of Federal Regulations is 
amended as follows:

PART 52--[AMENDED]

    1. The authority citation for part 52 continues to read as follows:

    Authority: 42 U.S.C. 7401-7671q.

Subpart SS--Texas

    2. Section 52.2270 is amended by adding paragraph (c)(85) to read 
as follows:


Sec. 52.2270  Identification of plan.

* * * * *
    (c) * * *
    (85) The State is required to implement a Small Business Stationary 
Source Technical and Environmental Compliance Assistance Program 
(PROGRAM) as specified in the plan revision submitted by the Governor 
on November 13, 1992. This plan submittal, as adopted by the Texas Air 
Control Board (TACB) on November 6, 1992, was developed in accordance 
with section 507 of the Clean Air Act (CAA).
    (i) Incorporation by reference.
    (A) Texas Clean Air Act (TCAA), TEXAS HEALTH AND SAFETY CODE ANN. 
(Vernon 1992), Sec. 382.0365, ``Small Business Stationary Source 
Assistance Program'', enacted by the Texas 1991 legislative session and 
effective September 1, 1991. Included in TCAA, Sec. 382.0365, are 
provisions establishing a small business assistance program (SBAP), an 
Ombudsman, and a Compliance Advisory Panel (CAP); establishing 
membership of the CAP; and addressing the responsibilities and duties 
of the SBAP, Ombudsman, and the CAP.
    (B) TACB Order No. 92-22, as adopted by the TACB on November 6, 
1992.
    (C) Appendix C, ``Schedule of Implementation'', appended to the 
narrative SIP Revision entitled, ``Revisions to the State 
Implementation Plan for the Small Business Stationary Source Technical 
and Environmental Compliance Assistance Program, Texas Air Control 
Board; November 1992''.
    (ii) Additional material.
    (A) Narrative SIP Revision entitled, ``Revisions to the State 
Implementation Plan for the Small Business Stationary Source Technical 
and Environmental Compliance Assistance Program, Texas Air Control 
Board; November 1992''.
    (B) TACB certification letter dated November 10, 1992, and signed 
by William R. Campbell, Executive Director, TACB.
    (C) Legal opinion letter dated October 15, 1992 from Kirk P. 
Watson, Chairman, TACB, to Mr. B.J. Wynne, III, Regional Administrator, 
EPA Region 6, regarding the composition of the Small Business 
Compliance Advisory Panel for Texas.
    3. Section 52.2307 is added to read as follows:


Sec. 52.2307  Small business assistance program.

    The Governor of Texas submitted on November 13, 1992 a plan 
revision to develop and implement a Small Business Stationary Source 
Technical and Environmental Compliance Assistance Program to meet the 
requirements of section 507 of the Clean Air Act by November 15, 1994. 
The plan commits to provide technical and compliance assistance to 
small businesses, hire an Ombudsman to serve as an independent advocate 
for small businesses, and establish a Compliance Advisory Panel to 
advise the program and report to the EPA on the program's 
effectiveness.

[FR Doc. 94-20345 Filed 8-18-94; 8:45 am]
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